New Delhi: ABB Ltd, the Indian unit of the world’s biggest builder of electricity networks, said the company’s first-quarter profit rose 69% on higher orders.
Net income in the three months ended 31 March climbed to Rs87 crore, or Rs20.44 a share, from Rs51.3 crore, or Rs12.11, a year earlier, the company told the Bombay Stock Exchange. Sales at the Bangalore-based company rose to Rs1,312 crore from Rs803 crore.
ABB benefited from India’s industrial growth and won more orders for its transformers, circuit breakers and industrial robots. The country’s manufacturing industry grew 12.1% in the 11 months ended 28 February, compared with a 9.1% pace in the year-ago period.
“The Indian industry continues to scale up through greenfield and brownfield expansions,” Ravi Uppal, vice-chairman and managing director of ABB India, said in an emailed release. “India’s power imperative is driving capacity enhancement and also bringing home the advantage of leveraging technology for improving grid efficiency and reliability across the transmission and distribution value chain.”
India’s production in the electricity industry rose 7.2% in the 11 months ended 28 February, compared with a 5.3% pace in the year-earlier period. Shares of ABB’s India unit closed at Rs4,094.40, a rise of Rs55.50 or 1.37% on BSE. The exchange’s 30-stock benchmark index closed at 14,288.88 points, up 0.08%. The company had Rs2,674 crore of orders at the end of Q1, 43% more than a year ago, ABB said.